Conference with Ukrainian businesses and administrations on cooperation
On 5 October 2022, a conference on economic cooperation between Poland and Ukraine in the context of rebuilding the country after the war with Russia was held under the name Europe-Poland-Ukraine. Rebuild Together. Around 500 guests participated in the talks.
Budimex actively participated in the meetings with the Ukrainian government and local administration, and also in the debate: “City and region: reconstruction and development”. During the debate, Artur Popko – President of Budimex – emphasised the conditions necessary to get involved in the process of rebuilding Ukrainian infrastructure. “Polish and foreign capital will be able to assist Ukraine to a greater extent if they are guaranteed transparency in the procurement process and the rule of law in this market. If we want to test these possibilities, we can already start design work for selected projects with Polish companies. This will be an inexpensive test of the possibilities for further involvement in Ukraine,” Artur Popko said during the panel. Budimex was one of three construction companies invited to the talks by the Ukrainian side.
Representatives of the Ukrainian administration presented the opportunities they provide to foreign construction companies, such as: land for the construction of apartment blocks, and care of the local administration. They also pointed out that Ukrainian companies must also be involved in the reconstruction of the country.
The direct material losses caused by the war, mainly in the form of destroyed infrastructure, were estimated by the Kyiv School of Economics in September at nearly USD 115 billion. On top of this, there are indirect losses in the form of lost economic potential. It is estimated that Ukraine has so far lost at least 5 million jobs, and its manufacturing capacity has declined by 30-45%. Without foreign assistance, the Ukrainian economy will not return to a path of sustainable economic growth. To prevent this, Western countries will have to invest a total of USD 300-500 billion in rebuilding Ukraine. Our eastern neighbour has suffered the greatest losses in infrastructure. The losses are estimated at USD 35 billion, which represents about 20% of all material losses in the country.
Representatives of the Ukrainian administration emphasised that Budimex is a well-known company on the Dnieper River and thanked all Budimex employees for their support during the first months of the war. According to the PEKAO SA Report “Challenges of post-war reconstruction of the Ukrainian economy”, Poland, the United States and the United Kingdom supported Ukraine with the largest amounts and materials in relation to their own Gross Domestic Product (GDP). The report estimates that the total benefits to Poland’s economy from involvement in Ukraine could amount to around 4% of Poland’s GDP and will be spread over at least the next 10 years.